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Jan 26, 2010

G.K. BHATNAGAR v. ABDUL ALIM (2002) 9 SCC 516

On 28/5/1979 proceedings for eviction were initiated by the landlord by filing a petition before the Rent Controller on the ground under clause (b) of sub-section (1) of section 14 of the Delhi Rent Control Act, 1958 alleging that the tenant had, without the permission of the landlord, sub-let the premises and parted with possession of the whole of the premises in favour of one Jagdish Chander. According to the tenant-respondent, there was no sub-letting: Jagdish Chander was taken into partnership by him in his pre-existing business run in the suit shop under 'deed of partnership' dated 13/10/1978.
After 9th June, 1952, subletting, assigning or otherwise parting with the possession of the whole or any part of the tenancy premises, without obtaining the consent in writing of the landlord, is not permitted and if done, the same provides a ground for eviction of the tenant by the landlord. However, inducting a partner in his business or profession by the tenant is permitted so long as such partnership may ostensibly be to carry on the business or profession in partnership, but the real purpose be sub-letting of the premises to such other person who is inducted ostensibly as a partner, then the same shall be deemed to be an act of sub-letting attracting the applicability of clause (b) of sub section (1) of section 14 of the Act.
There is no material available to hold the partnership a sham or nominal one and to hold that the partnership was brought into existence for disguising a sub-letting in reality.

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